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Barrie Landlords and Grey County Landlords Ask – How Much Can I Raise the Rent in 2014?

July 1st, 2013 · 2 Comments · How Much Can I Raise the Rent?

Grey Country landlord how much can I increase the rent

 The Ontario provincial government is capping rent increases for 2014 at 0.8 per cent.

Costs for landlords in Barrie, Orillia, Inissfil, Owen Sound, Keswick, and all over Simcoe County and Grey County are going up.

So it’s time to raise the rent to recover your added costs, right?

According to the Ontario Landlords Association website the maximum landlords can raise the rent in 2014 is a tiny 0.8 per cent.

Yes, in 2014 you can raise the rent 0.8%.

You read it right.

We understand if you feel dizzy reading that.

A dizzy, tingling feeling of ‘what are they thinking?’

That means, for example, if a tenant is paying $1,000 for rent, the maximum increase they could be charged 2014 would be $8.

The cap, also known as the Rent Increase Guideline, is the maximum amount a landlord can increase rent without seeking the approval of the Landlord and Tenant Board.

The Ontario Government Has Told Landlords How Much We Can Raise the Rent in 2014

The guideline is based on the Ontario Consumer Price Index. This is calculated by Statistics Canada and measures inflation or the rate of price change for goods and services bought by consumers.

This latest rent increase cap, the government pointed out, is the second lowest cap since the introduction of rent regulation 38 years ago. The 2013 rent increase cap was 2.5 per cent and 3.1 per cent in 2012.

If you do increase the rent make sure you give proper notice to your tenants to avoid any landlord legal issues.

Rentals Built After 1991

But, the guideline does not apply to vacant residential units, residential units first occupied on or after Nov. 1, 1991, social housing units, nursing homes and commercial property.

Ontario’s New Democratic Party has criticized the government for allowing a loophole in the Residential Tenancies Act that still allows rents to increase unchecked for many Ontarians.

For housing built before 1991, the government caps annual rent increases at 2.5 per cent or less, however, the NDP noted, owners of apartment and condos units built after 1991 can increase rents as much as they like each year.

The NDP introduced a private member’s bill at Queen’s Park earlier this month intended to amend the Residential Tenancies Act and close that loophole.

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